IRD Notice on Taxpayer Registration, Income Tax Payments and Furnishing Return of Income for the Year of Assessment 2019/2020.
In accordance with the amendments to the Inland Revenue Act, No. 24 of 2017 passed in Parliament on the May 4, 2021;
- Resident individuals whose employment income was subjected to PAYE prior to January 1, 2020 and having a tax liability for the year of assessment 2019/2020 are required to submit their returns of income;
- No penalty will be imposed or criminal proceedings will not be initiated against the persons who file the return of income for the year of assessment 2019/2020 together with payments (if any) as per the return before June 30, 2021;
- Interest rate on late payments is zero percent (0%) for payments due as final quarterly installment and for assessment (final) payment (which were due on May 15, and September 30, 2020) for the year of assessment 2019/2020.
Therefore, you are hereby informed to comply with the statutory requirements of the Inland Revenue Act as follows to get the benefits of above amendments.
- Employees who are deriving remuneration exceeding Rs. 250,000 for a month or Rs. 3,000,000 for a year after January 1, 2020, shall obtain the Income Tax Registration (Tax Identification Number -TIN). You may get your TIN through the e-Service via IRD web portal (Access to e-Services/Taxpayer Registration) or from Primary Registration Unit of the Inland Revenue Head Office located at Sir Chittampalam A. Gardiner Mawatha, Colombo 02 or from any metropolitan or regional office.
- Taxpayers who have not made the fourth quarterly installment (fully or partly) of the year of assessment 2019/2020, which was due on May 15, 2020 (Period Code 19204) can make the relevant payments without any interest.
- Taxpayers who have not made the assessment (final) payment of the year of assessment 2019/2020, which was due on September 30, 2020 (Period Code 19200) can make the relevant payments before June 30, 2021. If any taxpayer who has not made correct payments as a result of the retrospectively applicable amendments to the Inland Revenue Act can make the payments (if any) as a final payment (19200) before June 30, 2021.
- Taxpayers including employees, who have not filed the return of income and any person who is required to obtain the taxpayer registration or who is served with a return of income by the Commissioner General of Inland Revenue, can file the returns of the year of assessment 2019/2020 before June 30, 2021.
- No penalties will be imposed or no criminal proceedings will be initiated for persons who are complying with requirements 3 and 4 above for making payments and furnishing tax returns.
- For online payment facility via Online Tax Payment Platform (OTPP), please refer to the public notice No. PN/PMT/2021-03 dated 10.05.2021.
